U.S. companies' outlook on business conditions in China is at a three-year high, according to an annual survey published Thursday.
The 2021 survey conducted by the American Chamber of Commerce in Shanghai and PwC China found that more than 75 percent of respondents described themselves as "optimistic or slightly optimistic" about their five-year business outlook.
The report surveyed 338 members of the American Chamber of Commerce in June and July from industries including manufacturing, education and pharmaceuticals.
Reuters said the American Chamber of Commerce in Shanghai attributed the positive outlook to increased revenues and decreased COVID-19 infections in China with its strict pandemic policies.
But the survey's results also acknowledged some reservations about Beijing's COVID-19 policies.
"Business in China recovered quickly from last year’s lockdown," Ker Gibbs, president of the American Chamber of Commerce in Shanghai, told Reuters. "However, we are still feeling the pandemic’s effects, with members continuing to be negatively impacted by China’s travel restrictions. Overall business performance is good but there are signs of nervousness."
Relations between the U.S. and China reached a low point when the Trump administration launched a trade war and imposed sanctions on high-profile Chinese tech companies. Those tensions have eased somewhat under the Biden administration.